SugarCRM raises USD40 million from Goldman Sachs
Today, software company SugarCRM announced it raised USD40 million in private equity funding from Goldman Sachs, an American multinational venture capital banking firm. Goldman Sachs Vice President Antoine Munfa would join the board of directors of SugarCRM.
The latest funding would bring SugarCRM's total capital raised to around USD83 million. The amount included roughly USD15 million in debt financing obtained earlier in 2013. SugarCRM's last series D venture round amassed USD20 million from Draper Fisher Jurvetson, New Enterprise Associates as well as Walden International.
SugarCRM CEO Larry Augustin said the recurring revenue or the crucial metric for a software-as-a-service company increased by around 30% during the second quarter. For 15 consecutive quarters, the company's revenue has been growing. Augustin said approximately 600 new customers were added in the second quarter, amounting to 6,500 clients in total.
"We're focused on CRM, and that's all we do," Augustin told AllThingsD's Arik Hesseldahl. "Salesforce does a lot of other things. They are expanding to be a broad-based provider of software-as-a-service. We think there is a lot of room for innovation around CRM. We're not adding a marketing cloud or a service cloud, or things like Force.com. We think there is room for innovation around what CRM can do and how we can help individual seller when they are talking to their customers."